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Armond Walker

Julie Baker

ENGL 1301

4-5-2024

Deciphering the Value of Golf Course Homes

In the article, Golf courses and property prices: Is it the golf or the open space?, Geoffrey

Propheter explains the relationship between homes and whether their value increases because

they are located next to a golf course or if the value would increase if they were located next to

open space as well. Propheter uses the introduction portion of the article to establish the theory

behind houses being sold at a premium due to their relative location around golf courses, but also

points out that there are flaws within that theory because the characteristics that come with living

next to a golf course are completely overlooked. He states, “The golf course literature is deficient

in that few empirically examine the possibility the observed price premium may be due to the

open space…” (Propheter) The author tackles this claim by providing data from studies related to

the topic and ultimately choosing a specific case study to reference. He uses a

difference-in-difference specification to accurately analyze the change of home prices in

response to a golf course closing, including treated groups, untreated groups, and control

variables that are mentioned later in the article. Through a thorough examination of the

relationship between home prices and open space, Propheter presents solid evidence that

challenges the common theory of houses being sold at a premium solely based on the fact that

they are located next to golf courses. His analysis spreads across the factors not talked about like

golf courses being absent of negative externalities like noise and congestion, which also could be

the case with open space, which would make the presence open space the main reason houses are
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sold at a premium. He effectively uses the powers of ethos, logos, and counterarguments to share

the research he has conducted on this topic.

Propheter implements a counterargument when he talks about the main failing points in a

study conducted by Yates and Cowart that talks about homes being sold at a premium due to

them being on a golf course. He points out that the study inserts home prices in levels instead of

logs and explains that this is not reliable because the characteristics of a property rarely produce

linear effects to the price. He then goes on to explain the second flaw within the study, stating

that they do not take into account the golf course home’s price and the course’s open status. This

means we are not able to see the variation of the prices when the course the house was adjacent

to closes. Lastly, he says that the study does not factor in the house price trends before the golf

course closure announcement. Also in the introductory section, he presents what his study will be

going over, which is the Park Hill Golf Course closing and how the surrounding house prices

were affected because of it. Including the flaws of the study and giving the basis of his own study

in the introduction chapter of this article allows the reader to better understand the question of

house prices increasing because of their relationship with golf courses.

The author effectively uses logos by utilizing the difference-in-difference technique in the

second chapter of the article. He explains the separate elements of the new study, including a

treated group of homes with an unobstructed view of the golf course and an untreated group of

homes that are across the street from the treated group. Adding to that, the author mentions that

the houses were constructed by the same builder around similar times making the comparisons

easier and more accurate since there is no other factors such as age and build quality affecting the
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price. Sticking to the study’s explanation, Propheter provides two figures to help the readers

understand the layout of all of the houses. One shows the location of the Park Hill Golf Course

and some of the surrounding areas, the other shows the neighborhood adjacent to the golf course.

By incorporating these methods of research, the author provides the reader with real analytics

that allow us to visualize how the relationship between home prices, golf courses, and open

space are analyzed. Adding onto the explanation of the study, the author incorporates more logos

strategies to promote logic and statistical analysis third portion of the article. The results from the

study are talked about in the third section of the article and provide a lot of insight towards the

reality of the prices of homes and how they relate to whether the house is on an active golf

course. Propheter summarizes that the closure of the golf course did not affect the price home

buyers were willing to pay because the buyers knew that the closed golf course would turn into

open land regardless. Also, it was noted there was a 6.5% premium for the homes that were

located adjacent to the golf course as opposed to the homes located across the street from it.

Moving on from the logos-related strategies the author uses in this article, the ethos

strategies are prominent. To establish his credibility to his audience, Propheter references

multiple literature reviews on the same topic to increase his understanding of the subject matter.

For example, when he states “...there is an equally robust literature that finds homes adjacent to

large open spaces sell at a premium. For reviews of these literatures, see Crompton and Nicholls

(2019) and Crompton and Nicholls (2020), respectively” (Propheter), this shows that the author

recognizes and has done research on other articles relating to the topic so he can see the

arguments others are making to build his counter argument on. Additionally, mentioning the

unique characteristics of the golf course he is basing his study off of, such as it being owned by a
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non-profit organization and it being protected by a conservation easement, make him seem more

of a valid source to receive information from to the reader.

In conclusion, the article, Golf courses and property prices: Is it the golf or the open space?,

uses logos, ethos, and evidence from data to effectively communicate his argument that aimed to

disprove to the notion of homes adjacent to golf courses selling at a premium solely due to the

presence of the golf course itself to the readers of his article. By addressing the flaws in previous

studies and presenting his own methodological approach with the use of the

difference-in-difference strategy, Propheter builds a convincing and reputable case. To

complement2 his case, he examines existing literature and references to build his understanding

of the topic, which in turn helps him establish his legitimacy as an author. Therefore, his readers

will be inclined to trust him and see him as a credible source to receive information from.

Overall, Propheter’s article provides valuable insight as to whether a house being next to a golf

course has a direct correlation to a price premium and gives his reader information that helps

them understand this very topic.

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Works Cited

Propheter, Geoffrey. “Golf courses and property prices: Is it the golf or the open

space?” Applied Economics Letters (2022)

https://doi.org/10.1080/13504851.2020.1861200